If the Body20 franchisee is an Entity, where is the list of all Owners located?
Body20 Franchise · 2025 FDDAnswer from 2025 FDD Document
FRANCHISEE-SPECIFIC TERMS
- 4. Ownership of Franchisee (Recital C): If the franchisee is an Entity (as defined in the Agreement), the following persons constitute all of the owners of a legal and/or beneficial interest in the franchisee:
Source: Item 23 — RECEIPT (FDD pages 74–251)
What This Means (2025 FDD)
According to Body20's 2025 Franchise Disclosure Document, if the franchisee is an entity, the list of all owners of a legal and/or beneficial interest in the franchisee is located in Appendix A of the Franchise Agreement. Specifically, Appendix A is designated for 'Franchisee-Specific Terms'.
This means that prospective Body20 franchisees who operate under a business entity such as a corporation or LLC will need to ensure that all individuals with ownership stakes are accurately listed in Appendix A. This includes both legal owners and those with beneficial interests, which may extend beyond direct shareholders to include beneficiaries of trusts or other arrangements.
For a potential Body20 franchisee, this requirement highlights the importance of properly documenting the ownership structure of their business entity. Any changes in ownership must be reported and reflected in updates to Appendix A as required by the Franchise Agreement. Failure to accurately disclose ownership could potentially lead to breaches of the agreement.